Global Hydrogen Vehicle Market Expected to Grow at an Annual Rate of 57%... Led by Hyundai Motor Company

The cumulative leader until October this year is Hyundai Motor Company... Market share at 54%

[Asia Economy Reporter Changhwan Lee] Hyundai Motor Company, which holds the number one market share in the global hydrogen vehicle market this year, is expected to lead the industry for more than the next 10 years, while the global hydrogen vehicle market is projected to grow at an average annual rate of over 57% until 2030.

According to automotive market research firm MarkLines and others on the 14th, the global hydrogen vehicle market, which is about 20,000 units this year, is expected to increase at an average annual rate of 57.2% to 866,000 units by 2030. They noted that the hydrogen vehicle market has grown slowly so far due to difficulties in securing hydrogen production and refueling infrastructure, but these issues are expected to improve significantly starting next year.

Regarding hydrogen production, large-scale green hydrogen projects being prepared in Europe and the United States are expected to resolve the issue. The European Union (EU) Commission announced the ‘EU Hydrogen Strategy,’ which includes plans to expand electrolysis facilities to produce 10 million tons of clean hydrogen annually by 2030. Refueling stations are also increasing. The United States recently allocated a budget of $2.5 billion for hydrogen refueling station installation in the infrastructure stimulus bill. China’s Sinopec announced plans to install 1,000 hydrogen vehicle refueling stations by 2025.

Accordingly, various countries are joining the hydrogen vehicle market, which is currently led by Korea and Japan. As of this year, Hyundai Motor is the global leader in hydrogen vehicle sales. According to SNE Research, Hyundai sold 7,900 hydrogen vehicles worldwide through October this year, capturing a 54.0% market share and ranking first. During the same period, Toyota sold 5,500 units, holding a 37.5% market share and ranking second.

Until this year, these two companies were the only significant sellers of hydrogen vehicles. However, starting next year, China’s FAW Group, Shanghai Automotive, Europe’s Stellantis, Renault, and others are expected to enter the hydrogen vehicle market in earnest. In particular, the mandatory clean truck regulation starting in California in 2024 is expected to spread to other states such as New York and New Jersey, serving as a catalyst for hydrogen vehicle expansion.

Although various countries are entering the hydrogen vehicle market, Korea’s leadership is expected to continue for a considerable period. According to MarkLines, domestic hydrogen vehicle sales are projected to increase from 5,000 units in 2020 to 180,000 units in 2030, with an average annual growth rate of 41%. As of last year, Korea’s share of the global hydrogen vehicle market reached 61%, and this share is expected to remain high at 21% in 2030, alongside China and Japan. Since Hyundai is the only company manufacturing hydrogen vehicles domestically, it is expected to handle most of the volume. Hyundai plans to establish a hydrogen vehicle production system of 40,000 units annually by 2022, 130,000 units by 2025, and 500,000 units by 2030. This accounts for more than half of the global hydrogen vehicle sales.

Researcher Byunghwa Han of Eugene Investment & Securities explained, "Hydrogen vehicles will be a key industry for carbon neutrality and maintaining manufacturing employment," adding, "The global hydrogen vehicle market will expand centered on Korea, Japan, and China, where governments are actively involved."

This content was produced with the assistance of AI translation services.